Jet Airways hits all-time low, stock plunges over 40 percent

Investors said the stock has erased market cap of Rs 2,800 crore in the past six months

Jet Airways

Mumbai: Shares of Jet Airways extended losses for the ninth consecutive session on Tuesday and fell over 40 per cent on the Bombay Stock Exchange (BSE) in the afternoon session. Investors said the stock has erased market cap of Rs 2,800 crore in the past six months. Besides, the stock lost 73 per cent of its value in the past seven days.

At 2:30 pm, the scrip was trading 44.07 per cent lower at Rs 38.20. The development comes a day after State Bank of India (SBI)-led consortium of lenders decided to take the grounded airline to bankruptcy courts after failing to cobble together a revival plan despite working on it for over five months.

The National Company Law Tribunal (NCLT) could hear insolvency petitions filed by the airline's operational creditors for recovery of dues on June 20. Reports said that two operational creditors Shaman Wheels and Gaggar Enterprises have already filed two separate insolvency pleas against the airline in the Mumbai NCLT.

Last week, the National Stock Exchange said that shares of Jet Airways will be removed from daily trading of futures and options effective from June 28. The reason cited by the bourse was the company's failure to respond to queries about persisting rumours in the market and submit financial results for the year ended March 31.